The Green Deal, a step backward
The European Union is abandoning its ambitious plan to sell only electric vehicles from 2035 onwards
Daniela Budu, 17.12.2025, 13:50
The European Union is abandoning its goal of imposing a total ban on sales of new cars with gasoline or diesel engines starting in 2035. According to the European Commission, manufacturers will still be able to sell a limited number of such vehicles after that date, provided they meet several conditions. The Commission has presented the so-called ‘auto package’, which allows manufacturers flexibility in production, with the stated aim of balancing the needs of the traditional auto industry and encouraging innovation and competitiveness in the field of electric vehicles. This proposal, which still needs the approval of EU governments and the European Parliament, comes, according to industry insiders, under pressure from major European manufacturers struggling to compete with Tesla and Chinese electric car manufacturers.
According to the provisions, from 2035, new cars in Europe will have to reduce engine carbon dioxide emissions by 90%, and the remaining 10% can be offset by low-emission materials or alternative fuels. Hybrid cars or efficient combustion engines will still be able to be sold, the Commission notes, as long as manufacturers comply with these conditions. According to the same proposal, for each electric car sold, the manufacturer receives an additional bonus in the calculation of carbon dioxide emissions that applies to the entire production, thus being able to balance the production of combustion engines.
On the other hand, Brussels has announced that it will provide €1.8 billion to accelerate the development of a complete value chain for batteries manufactured in the EU. As part of the battery stimulus program, €1.5 billion will support European battery cell manufacturers through interest-free loans. According to the Commission, the additional specific policy measures will support investment, create a European battery value chain, and stimulate innovation and coordination between Member States. In addition, the EC believes that these measures will increase cost competitiveness, secure upstream supply chains, and support sustainable and resilient production in the EU.
The EU will support through various means the development of a new category of electric vehicles with a length of up to 4.2 meters. This, the Commission believes, will enable Member States and local authorities to develop specific incentives, stimulating demand for small electric vehicles produced in the EU. AFP notes that all these measures mark the biggest departure by the bloc from its environmental policies adopted over the past five years. (MI)
